“In Australia,” Raymond said, “REA (REA Group) operates under the realestate.com.au and realcommercial.com.au brands, and in Asia via its stake in PropertyGuru.
“REA India (via Housing.com) currently is one of the top three portals in terms of audience.
“In Australia, REA is the market leader with more than three times the amount of monthly traffic of its nearest competitor. “REA owns 20% of the number two US property marketplace, realtor.com, in partnership with its 61% major shareholder, News Corporation (NWS).
“It has also acquired Mortgage Choice within its Financial Services segment, which consists of commissions earned from mortgage broking.
“Property market slowdown plus Domain’s profit downgrade plus the tech sell off resulted in significant price weakness in REA’s stock price.
“REA is a high quality business and an extremely profitable business.
“During the property slowdown, a fall in property listing could partially offset by
(1) longer advertising period;
(2) vendors opting for premium option for property marketing,” Raymond said.
REA (REA Group)
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